Tesla sets sights on India with hiring push after PM Modi’s US trip

Tesla’s potential India entry is bolstered by reduced import duties on electric vehicles above $40,000, dropping from 110% to 70%, along with new policies offering further tariff reductions, incentivizing Tesla to advance its plans

Tesla is moving closer to its much-anticipated entry into the Indian market. The company has posted 13 job openings in India on its LinkedIn page, with roles ranging from customer-facing positions to back-end jobs. The positions are spread across key Indian cities like Mumbai and Delhi, and include positions such as service technician, customer engagement manager, and delivery operations specialist. These job listings are seen as a strong indicator of Tesla's intentions to establish a more robust presence in India.

This development comes shortly after Tesla CEO Elon Musk’s meeting with Prime Minister Narendra Modi during his US trip. The two leaders discussed various topics, including technology and innovation, sparking new speculation about Tesla’s plans for India. Historically, high import duties on cars have been a key obstacle for the company. However, Tesla's latest actions, including the job postings, suggest that the company is revisiting its India strategy with fresh optimism.

Tesla's strategic timing in India’s expanding EV market

While the electric car market in India is still in its early stages, the sector is rapidly expanding. With electric vehicle (EV) sales reaching only about 100,000 units in 2023 compared to China’s 11 million, India presents an emerging opportunity for global carmakers, including Tesla. The Indian government has been taking steps to encourage EV adoption, with various incentives and initiatives aimed at boosting the electric vehicle industry in India.

Tesla’s potential India entry is further supported by the recent reduction in import duties on electric vehicles priced above $40,000, from 110% to 70%. This tariff change, combined with new policies offering lower duties for EVs under certain conditions, provides a significant incentive for Tesla to move forward with its plans. The Indian government also introduced a proposal in 2023 for EV manufacturers that commit to setting up local manufacturing plants in India, adding an attractive option for companies like Tesla to invest in EV manufacturing in India.

Tesla’s renewed focus on India

The timing of these changes coincides with Tesla's renewed interest in the Indian market. In 2021, the company had initially launched efforts to establish a presence by setting up sales infrastructure, but the high import duties stalled these plans. Now, following PM Modi’s US trip and his meeting with Musk, Tesla is seemingly ready to move forward.

While Tesla has not yet confirmed plans for EV manufacturing in India, its current job listings and government incentives suggest that the company is preparing to capitalize on the rapidly growing electric vehicles market in India. Although it remains unclear whether Tesla will build production facilities in India, the combination of reduced tariffs, job openings, and government policies aimed at promoting the EV industry in India signals that the company’s entry into the Indian electric vehicle market could soon become a reality.